Stellantis is set to manufacture electric vehicles (EVs) under China's Dongfeng luxury Voyah brand at its Rennes factory in France, as part of a broader European joint venture between the two carmakers.
Analysts say it points to both European OEMs' manufacturing overcapacity and the bold global expansion strategies from Chinese OEMs that include greater localisation of manufacturing. Inside the EU that will also help Chinese OEMs to avoid import tariffs that apply to Chinese shipments of finished vehicles.
Stellantis is also working closely with China's Leapmotor.
Stellantis recently announced that it will deepen its relationship with Chinese partner Leapmotor to produce an Opel branded C-segment SUV.
Stellantis and Dongfeng have now signed a non-binding memorandum of understanding (MoU) to establish a new Europe-based joint venture for the sale and local production of Dongfeng EVs.
Under the proposed structure, Stellantis would hold a 51% controlling stake, with Dongfeng retaining the remaining 49% in the JV.
The venture would manage sales and distribution of Voyah-branded electric models across selected European markets, drawing on Stellantis' existing retail and after-sales network on the continent.
The partnership would also cover joint purchasing and engineering activities, utilising Dongfeng's established supply chain in China.
Stellantis CEO Antonio Filosa said: “The plans we are announcing today take our recently strengthened cooperation with Dongfeng to an all-new dimension of an international partnership to the benefit of customers around the world.
“With this new chapter in our collaboration, we will give our customers an even greater choice of competitive products and pricing, leveraging the best of Stellantis’ global footprint alongside Dongfeng’s access to China’s advanced new energy vehicles ecosystem.”
The agreement follows a separate announcement earlier this month confirming an expansion of the two companies' existing China-based Dongfeng Peugeot Citroën Automobile (DPCA) joint venture.
That deal will see Peugeot and Jeep-branded EVs produced at DPCA's Wuhan plant for both the Chinese domestic market and international export, with production scheduled to begin in 2027.
The DPCA partnership has manufactured more than 6.5 million Peugeot and Citroën vehicles in China since its formation.
The proposed European venture remains subject to the finalisation of binding implementation agreements, including alignment on economic and operational terms, as well as the requisite regulatory clearances.
Dongfeng chairman Qing Yang added: “Dongfeng will further strengthen and expand our partnership with Stellantis, closely aligning with China’s national strategies of high-level opening up, dual circulation, and stabilising foreign investment, business, and employment.”
